Hi All,
I went through this thread by Swing King on using the RSI and MA for swing trading, for some reasons i was not able to post on that thread and was thinking it will be good if other members can put in their comments around this.
After going through the amazing thread by Swing King, I figured out that Dr Reddy is one stock which can fit in for this strategy, which is RSI (20 -60) and price below MA( 20/ 50) then short. and if RSI (40-80) and price above MA (20/50) then buy.
However, for Dr Reddy the RSI is weak and the price is in between MA 20 and MA 50, also it has been following the MA 20 (as support) in the past.
Further, if i look at the daily chart, then it gives me a rising window.
Questions:
1. Should we looking at MA 20 or wait the prices to come under MA 50 on the weekly charts for the Sell signal?
2. Also, the daily chart is showing a contradictory scenario by showing a rising window?
Am i missing on some dimension, please suggest?
http://img402.imageshack.us/i/drreddy.png/
I went through this thread by Swing King on using the RSI and MA for swing trading, for some reasons i was not able to post on that thread and was thinking it will be good if other members can put in their comments around this.
After going through the amazing thread by Swing King, I figured out that Dr Reddy is one stock which can fit in for this strategy, which is RSI (20 -60) and price below MA( 20/ 50) then short. and if RSI (40-80) and price above MA (20/50) then buy.
However, for Dr Reddy the RSI is weak and the price is in between MA 20 and MA 50, also it has been following the MA 20 (as support) in the past.
Further, if i look at the daily chart, then it gives me a rising window.
Questions:
1. Should we looking at MA 20 or wait the prices to come under MA 50 on the weekly charts for the Sell signal?
2. Also, the daily chart is showing a contradictory scenario by showing a rising window?
Am i missing on some dimension, please suggest?
http://img402.imageshack.us/i/drreddy.png/
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